Arts and crafts retailer Michaels Stores Inc. today said it has bought an online application from Chicago-based ScrapHD LLC that enables consumers to create digital scrapbooks. Terms of the deal were not disclosed.

Consumers using the ScrapHD application can print scrapbooks at home or have professional services bind them. Consumers also can have the digital scrapbooks sent to their homes or to one of the 1,037 retail stores operated by Michaels. Consumers also can use the technology to create personalized greeting cards and posters.

Michaels has closed the ScrapHD web site. The retailer says it will relaunch the brand under the Michaels’ banner, and on the Michaels.com web site, in 2011. Consumers will have access to free content and paid, premium services after the relaunch, but Michaels did not give details about what content would be free. Michaels phased out online sales over the last several years.

“We believe existing and future Michaels customers will love this application, featuring more than 10,000 pieces of digital creative content and an easy-to-use interface that appeals to beginners and experts alike,” says John Menzer, CEO of Michaels. “Digital photo booking and digital scrapbooking are an important part of Michaels’ strategy to continue as a world-class leader in the arts and crafts industry.”